Bulgaria - Economic sectors

Since the late 1980s, manufacturing, mining, transport, construction,
and agriculture have been declining in Bulgaria, while the service
sector has been growing, particularly in
retail
business and finance. Energy, communications, and tourism have also
become high-profile if turbulent industries. The
World Factbook
estimated that by 2000 agriculture accounted for 15 percent of
gross domestic product
(GDP), industry 29 percent, and services 56 percent. Estimates for the
division of the
labor force
were from 1998, when 26 percent of the labor force was employed by the
agriculture sector, 31 percent by the industry sector, and 43 percent by
the services sector.

Much of Bulgaria's earlier economic strength lay in heavy
industry powered, until the early 1990s, by subsidized energy from the
Soviet Union. With the collapse of centrally planned Eastern European
economies, manufacturing suffered a downturn. Major state-owned
chemical, oil-refining, and metallurgical plants were targeted for
privatization and examined to determine whether they could compete
effectively in international markets. The largest privatization deal in
heavy industry was the sale of the Sodi Devnia chemical plant to the
Belgian company, Solvey, in 1999 for $160 million. Many other major
assets, including oil refineries and

chemical, metallurgical, and cement plants were privatized, while some
were reduced to a shambles.

Food processing, textiles and apparel, and other
consumer goods
manufacturers have performed comparatively better, often attracting
investment from renowned companies such as Kraft Jacobs Suchard or
Danone. Future growth looks probable in light industry, led by
electronics, textiles, and food processing. A small percentage of new
private companies are involved in manufacturing. Private sector growth
is greatest in the construction and food industries, maintenance and
repair of electronic tools and equipment, household appliances, and
automobiles.

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